Employee Turnover

Q: If an industry has a turnover of employees, how do we count the number of employees? For example they have 350 employees W2 employees but 50 left so they hired 50 more. Do we say that they have 350 employees even though the true number is 400 W-2 employees?  

A: The questionnaire asks for the average number of employees that a company had over a specified period(s) of time. 
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